When it comes to real estate investing, it’s not just about finding the right property or negotiating the right price. Protecting your investment is equally important. Issues such as squatters, evictions, and adverse possession can threaten your property ownership, disrupt your cash flow, and even lead to expensive legal battles if not addressed correctly.
Whether you’re a seasoned investor or just starting to grow your portfolio, understanding how these legal concepts work in Maryland is crucial. In this guide, we’ll break down the top 10 things every real estate investor must know about squatters, evictions, and adverse possession—plus how working with experts like Olympus Equity can safeguard your investments while helping you identify new opportunities.
1. What is Squatting?
Squatting occurs when individuals occupy a property without the owner’s consent. While it may sound straightforward, the legal implications can be surprisingly complicated.
- The risks: Squatters can damage the property, refuse to leave, or even attempt to claim legal rights through adverse possession if they remain long enough.
- The impact: Property owners may lose months of rental income while dealing with squatters, and vacant homes can quickly become liabilities.
For investors, the key is prevention: secure vacant properties, maintain them, and work with local professionals who can monitor and protect your assets.
2. Understanding Eviction Laws
Evictions are often misunderstood, but they’re highly regulated by state and local law. Landlords must follow a strict legal process to remove non-paying tenants or those who violate lease terms.
- Notice requirements: Most states, including Maryland, require landlords to provide written notice before pursuing eviction in court. For example, tenants may receive a 30-day notice to vacate before a lawsuit can be filed.
- Legal compliance: Skipping steps or attempting “self-help” evictions (like changing locks) can backfire, leading to costly lawsuits.
Understanding eviction laws ensures you avoid legal mistakes and keeps your investment strategy on solid ground.
3. Adverse Possession: The Silent Threat
One of the most overlooked risks investors face is adverse possession. This legal principle allows someone to claim ownership of a property after continuous, open, and hostile possession for a legally defined period.
- The typical timeframe is about 15 years of uninterrupted occupation.
- The occupant must treat the property as their own—maintaining it, paying taxes (in some states), or making visible improvements.
While adverse possession cases are rare, they can create serious legal headaches if properties are left vacant or neglected.
4. Protecting Your Investments
Being proactive is the best defense against squatters, evictions, and adverse possession:
- Regular inspections: Prevents unauthorized occupancy.
- Clear records: Document all tenant communications and lease agreements.
- Professional support: Work with experts who understand the real estate landscape.
5. Conducting Thorough Due Diligence
Before purchasing a property, always verify its legal status. Is it vacant? Are there tenants in place? Any boundary disputes or signs of long-term occupation by unauthorized parties?
At Olympus Equity, we conduct comprehensive due diligence so you’re not blindsided after closing.
6. Partnering with Real Estate Attorneys
If legal issues do arise, having a knowledgeable attorney is non-negotiable. They can:
- File eviction paperwork correctly.
- Defend your rights against adverse possession claims.
- Guide you through complex disputes.
We connect our clients with reputable local attorneys who specialize in real estate law.
7. Leveraging Property Management Companies
Managing tenants and protecting properties requires time and expertise. A property management company can:
- Screen tenants thoroughly.
- Monitor vacant properties to prevent squatting.
- Handle repairs, rent collection, and legal notices.
At Olympus Equity, we regularly partner with trusted management teams to keep your investments profitable and protected.
8. Navigating Local Zoning and Housing Laws
Every city has unique zoning laws and rental regulations. Violating these rules—even unintentionally—can make it harder to evict problem tenants or protect against adverse possession claims.
Our team keeps investors informed about local laws, so you stay compliant while maximizing profits.
9. Finding the Right Deals
It’s not just about protection—it’s about growth. At Olympus Equity, we specialize in finding undervalued properties that meet your investment goals. We target homes that can be purchased quickly, often for cash, to help you expand your portfolio while minimizing risks.
10. Providing Market Insights and Strategies
Real estate success comes from timing and knowledge. Our team offers investors detailed insights into the market, identifying:
- High-demand neighborhoods.
- Properties at risk of foreclosure or abandonment.
- Trends that create opportunities in both residential and commercial spaces.
With our guidance, you can invest confidently while protecting your assets from hidden risks like squatters or adverse possession.
Final Thoughts
Squatters, evictions, and adverse possession may seem like distant problems, but for investors, ignoring these issues can result in major financial setbacks. By staying informed, following the law, and partnering with trusted professionals, you can secure your portfolio and grow it without unnecessary risk.
At Olympus Equity, we don’t just help you find great deals—we help you protect them. From due diligence to legal connections to hands-on property management solutions, we’re here to ensure your investments stay safe, profitable, and future-ready.
Real estate investors need to understand the laws and regulations surrounding squatters, evictions, and adverse possession. It’s important to work with a team of professionals who can help you protect your investment and find the right deals for your portfolio. At Olympus Equity, we have the experience and knowledge necessary to help you navigate these complex issues and make informed investment decisions. Contact us today to learn more about how we can help you achieve your real estate investment goals. 443-768-1937